Xero has recently enacted significant changes to its employee performance management process. The new system involves evaluating staff performance and presenting underperformers with a difficult choice: accept a performance improvement plan or face redundancy. Details of the system emerged, sparking anxiety among employees regarding potential job losses. The company has not disclosed the number of employees affected by these changes. This move signals a broader restructuring effort within Xero to enhance efficiency and productivity. The implementation of the new system has led to concerns about the criteria used for performance evaluation and the fairness of the process. Xero maintains the changes are designed to support employee growth and company success.